UPS, FedEx, and DHL Seek Tariff Refunds for Customers: How Major Shipping Companies are Claiming Import Duty Reimbursements
Major shipping companies such as UPS, FedEx, and DHL have initiated the process of claiming refunds for import duties paid under the Trump administration. The companies are utilizing the new portal launched by U.S. Customs and Border Protection (CBP) to request refunds for tariffs imposed under the International Emergency Economic Powers Act (IEEPA). The Supreme Court ruled in February that the IEEPA tariffs were unlawfully imposed, prompting the companies to seek reimbursement for the additional costs incurred by customers.
UPS has confirmed that it is submitting claims for tariff refunds through CBP's CAPE portal on behalf of its customers. The refunds will be issued to the importer of record (IOR), and UPS will then reimburse customers who paid the levies. FedEx has also committed to refunding customers who bore the cost of the tariffs, with plans to expedite the process once CBP approves the claims. Similarly, DHL has begun submitting claims and will pass on the refunds to the original payors as they are received.
Individual consumers are not eligible to file claims through the CAPE portal, as only the IOR can request refunds. UPS and other shipping companies will handle the refund process on behalf of their customers, ensuring that once the funds are received from CBP, they will be promptly issued to the payors. The companies have not disclosed the total amounts of refunds being sought, but they are committed to returning the money to those affected by the IEEPA tariffs.
In response to the Supreme Court's ruling, President Trump hinted that he may favor companies that choose not to seek refunds for the tariffs. He suggested that firms declining refunds would be viewed favorably, calling it a "brilliant" move. However, businesses like Houghton Horns, a musical instrument retailer in Texas, are eagerly awaiting the refunds through the shippers who acted as the importers of record on their behalf. While grateful for the commitment of shippers to pass on the refunds, they acknowledge that the process is not guaranteed until the funds are received.